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jh2704,
"it started with Trice who didnt know truth from fiction..."
Meanwhile well 6 continues producing 10500 bopd, and somehow 7z is occasionally being 'put on line for testing'. Nah. Fractured Basement ? Useless. No oil there.
it started with Trice who didnt know truth from fiction...
"Personally, anyone who sees this as a "scam" is the idiot. I do know that you seem to seriously lack corporate law and financial knowledge."
well i have no objection to being called an idiot. I dont disagree that the geology turned pete tong - water cut and GWA drilling results etc etc
however i have my serious doubts on the bod's actions or should i say at times inactions. it may have been incompetence or something else. i welcome any investigation into how we have arrived where we are.
adoubleuk,
Okay sure, you can deny that. But you can't deny the financial valuation based on those calculations. Hence, this company is insolvent.
"There are three things which totally screwed-up the oilpatch. 'O'-rings, wireline, and engineers."
And in this case, geologists.
But sure, talk some more crap about being an "oilfield" expert, when it won't help here.
Slift,
"Under SPE guidelines and methodology of how 2P reserves are calculated, you cannot deny this."
Oh yes I fu**in can.
For a few years I was involved with SPE, because I was stupid enough to think that having those letters after my name might mean something. But then came to my senses, realising that I was wasting my money, and didn't really want to be associated with something calling itself the ' Society of Petroleum Engineers' anyway. Prefererred to just getting on with the job of drilling oilwells.
There are three things which totally screwed-up the oilpatch. 'O'-rings, wireline, and engineers.
I wonder if Slift has a binded , affected member..
Part 26A restructuring plan
A restructuring procedure for companies in financial difficulty. The operative provisions are contained in Part 26A to the Companies Act 2006, inserted by Schedule 9 to the Corporate Insolvency and Governance Act 2020.
The process for a part 26A restructuring plan is closely modelled on the process for schemes of arrangement.
The principal differences between schemes and part 26A restructuring plans are:
Part 26A restructuring plans are only available to companies that have encountered or are likely to encounter financial difficulties likely to affect their ability to carry on business as a going concern.
Scheme of Arrangement.....
(If the relevant members and creditors approve the scheme, the court will decide at a further hearing whether to sanction the scheme, and will look at whether the approved scheme is FAIR. If the court sanctions the scheme, the scheme is binding on all affected members, creditors and the company.)
"Slift. Have you ever been sectioned under the Mental Health Act?"
Another question.....should the deluded poster's that believe the company is in great shape, believe that CA will come to the rescue and believe the whole thing is a scam be sectioned under the Mental Health Act??.........no answer required lol
adoubleuk,
"But thereby lies the rub.
I don't trust that latest CPR further than I could throw it."
Okay sure.
But do you deny that current 2P reserves are 7m barrels as per CPR? I.e. the most that could be produced with the existing 6 well and 7z well.
Under SPE guidelines and methodology of how 2P reserves are calculated, you cannot deny this. If you do, then you're simply deluded.
7m reserves equates to negative equity. The wells have simply watered in too fast.
No matter what 2C resources say - 2C resources didn't even have much value here, on an accounting basis.
adoubleuk,
"You still don't get it, do you?
There is an obvious 'movement' amongst existing shareholders in an attempt to ensure that this 'restructuring' will not be allowed."
The only ones that doesn't get it is you and others who are calling this as a "scam".
As i've responded to you on a previous post, what the BOD have done is completely legal and within the corporate laws of the new UK's Restructuring Plan under Companies Act 2006.
Unless ofcourse you think both The Restructuring Plan and Companies Act 2006 is criminal, corrupt, or whatever... then i'd suggest you take that up with the government.
Slift,
"The company has had a negative equity ever since the downgrade in oil resources. "
But thereby lies the rub.
I don't trust that latest CPR further than I could throw it.
Slift,
"Sure call me an idiot, but we'll see who the real idiot is as this restructure progresses."
You still don't get it, do you?
There is an obvious 'movement' amongst existing shareholders in an attempt to ensure that this 'restructuring' will not be allowed.
adoubleuk,
"Slift,
"Do you want to go email OGA or Spirit and complain about it?"
Yes. Of course. And thanks for at last letting us know who your paymasters are. Idiot."
Sure call me an idiot, but we'll see who the real idiot is as this restructure progresses.
Personally, anyone who sees this as a "scam" is the idiot. I do know that you seem to seriously lack corporate law and financial knowledge.
All you have to do is get your calculator out and do some maths.
The HY20 accounts is available on the HUR's website.
The company has had a negative equity ever since the downgrade in oil resources. The company cannot produce enough cashflow to meet commitments and repay the bond. The company is insolvent.
See you at 0.1p.
Slift,
"Do you want to go email OGA or Spirit and complain about it?"
Yes. Of course. And thanks for at last letting us know who your paymasters are. Idiot.
Very well described, net cash is going to increase month by month and we still have almost 15 months before the CB are due their money, so it’s all BS what this useless good for noting CEO who is hiding in his fancy house and has no clue how to be honest and run the company for the benefit of the share holders not the Fekin CB holders
It’s amazing in yesterday RNS he has the front to say the share holders have no right to be present in any of the upcoming meetings and therefore they can all **** off and don’t look back
This guy should be tried for criminal offense in that he is hiding the company’s real money and assets and is in with the CB holders to the detriment of the company share holders whom own the company not this clown
I am sure the shareholders can and must fight this BOD and throw them out of their fancy offices sooner the court must give attention to company with lots cash and producing to rule against this conspiracy hatched up by this criminal CEO
LegalEagle1
I notice this is your first post here.
Welcome.
Personally (of course I cannot speak for anyone else) I find your comments valid and pertinent. I'll follow your posts with interest. As you've probably gathered, this whole thing, over the years, has been something of an 'adventure', maybe risky, but nothing wrong with that. So long as one's prepared for the risk. But being held up by bandits becomes a different story.
"Would you like to give a full reason for Lincoln to be P&A'd, given the DST results, and that the equipment has already been purchased for tie-in to the FPSO ?" 1: ) they don't have the money (quite an important factor) 2:) The FPSO won't be there..
" The GWA Joint Venture will build-out the equipment and materials required to tie-back a single well from the GWA to the Aoka Mizu FPSO on a 50:50 basis with an additional net cost to Hurricane of $20.5 million. On completion, these items will be held in storage until the GWA Joint Venture sanctions the tie-back of a well to the Aoka Mizu FPSO, with the required regulatory consents to do so."
Spirit/OGA didn't sanction it.
Do you want to go email OGA or Spirit and complain about it?
Anne37
Thank you chartered accountant, for confirming that the BoD have utilised 'creative accounting', and that those believing Hurr, should POO remain in 60s, will be unable to repay bonds due July 2022 'are simply delusional'. Do, should you have time, enlighten us with further detail if you are so minded.
Note that immediately all the usual suspects have appeared to denounce the fundamental message that a SCAM is being attempted
NB. Anne, whilst CA will undoubtedly (one hopes) have accountants examining the CPR & Hurr presentation, an email from you to RB at CA would certainly do no harm, if you are so minded. Richard Bernsteins's email is rb@crystalamber.com
Slift,
"Then don't forget to include CAPEX for this year for decom/P&A of Lincoln @ $13m."
No, indeed, let's not.
Would you like to give a full reason for Lincoln to be P&A'd, given the DST results, and that the equipment has already been purchased for tie-in to the FPSO ?
Fine details, please. Either technical, or instead who paid off whom in the OGA.
Miss chartered accountant,
"Did the BoD take out $20M+ for future decommissioning costs perhaps?"
Yes, $23.5m to be exact back in Q4 2020.
A further $15.7m will be allocated for decomissioning as of this month.
Then don't forget to include CAPEX for this year for decom/P&A of Lincoln @ $13m.
And let's not forget the costs for this restructure.
Also, from HY20 results:
"Impairment of oil and gas assets
Following the initial conclusions of the Technical Review (see above), the associated downwards revision of estimated recoverable reserves and the decline in oil prices during the year, a non-cash impairment charge of $238.9 million has been recognised against the producing Lancaster oil and gas assets. The impairment charge was calculated based on expected future cashflows from the Lancaster EPS, using a number of forecast production profiles (both with and without the cost and benefits of a water injection programme) and probability weighted according to our best estimates of the most likely outcomes."
You're welcome.
Anne appreciate the input from a real accountant:
"Did the BoD take out $20M+ for future decommissioning costs perhaps? " did you read the announcements and accounts?
"In April 2021, the Offshore Petroleum Regulator for Environment & Decommissioning ("OPRED") formally requested that the Company increase the amount of decommissioning security for the Lancaster field by £11.2 million ($15.7 million), in order for the security to be in place on a pre-tax basis. Accordingly, the Company expects to classify this amount as restricted cash in May 2021, which will result in a total of £28.0 million ($39.2 million) of cash restricted as decommissioning security."
oil price and production are irrelevant - short term fixes
Its commercial reserves and that means the ability to get it out the ground long term
wells are too expensive here and production declines due to water cut
It was a non-starter and no amount of quoting cash or production can get this company out of the hole it dug
lol, all you have to do is look at the presentation.
If you're really a chartered accountant, not hard to read the numbers written there.
It's called cash being restricted.
Why not read the accounts for HY20? It's all there.
I applaud your intentions but you do need to check your facts. There was in fact only 2 offloads during Q1 .Read my post 29 Apr 2021 12:15
The year end balance would have included proceeds from the late December offload.